Philadelphia is experiencing a building boom. But new development is leading to rising rents and home prices that are out of reach for many low- and moderate-income Philadelphians. Some of our neighbors can no longer afford to stay in their neighborhoods, nor can they choose to move to improving neighborhoods.
PACDC believes that everyone should benefit from a growing city, and that Philadelphia must become a model for equity and inclusion. That’s why we support Inclusionary Housing, which would create more affordable home choices for low- and moderate- income Philadelphians.
How Does Inclusionary Housing Work?
Inclusionary Housing requires that developers set aside a percentage of housing units in new buildings for tenants or buyers who are low- or moderate-income, or make a payment to the Philadelphia Housing Trust Fund. In return, developers can access off-sets like density bonuses to build more units than otherwise would be allowed.
Developers in Philadelphia already get another valuable off-set, the 10-Year Property Tax Abatement, which can be worth thousands of dollars for developers of a single condo, or tens of millions of dollars for large apartment buildings. Inclusionary Housing is one way developers can begin to offer a return on investment to Philadelphians who’ve been footing the bill for that subsidy program for more than 17 years.
By providing the homes on site at the development, low- and moderate- income Philadelphians can secure quality homes they can afford in higher-income neighborhoods. By making a payment to the Housing Trust Fund, non-profits can use those funds to improve our lower-income neighborhoods by creating more affordable homes or preserving or repairing existing affordable homes, and helping our neighbors who are facing homelessness.
More than 500 Inclusionary Housing programs exist across the U.S., from big cities, to small towns, urban, rural and suburban. It’s time for Inclusionary Housing in Philadelphia!
Endorse our Affordable Homes for a Growing Philly campaign by clicking this link. Then share it with your friends! City Council and Mayor Kenney will only adopt Inclusionary Housing policies if they hear from you!
Have more questions? Check out the FAQ here.